2006/659/EC: Council Decision of 25 September 2006 authorising the United Kingdom to introduce a special measure derogating from Articles 5(6) and 11(A)(1)(b) of Directive 77/388/EEC on the harmonisation of the laws of the Member States relating to turnover taxes
Data as of 2026-07-04 · Compiled from an official source version. Later amendments or repeals may not be reflected; the official text prevails. · Read the official text ↗
By way of derogation from Articles 5(6) and 11(A)(1)(b) of Directive 77/388/EEC, the United Kingdom is authorised, from 1 May 2007 until 31 December 2015, to fix on a flat-rate basis the proportion of value added tax relating to expenditure on fuel used for private purposes in business cars.
The proportion of the tax referred to in Article 1 shall be expressed in fixed amounts, established on the basis of the CO 2 emissions level of the type of vehicle, that reflect fuel consumption. The United Kingdom shall adjust these fixed amounts annually to reflect changes in the average cost of fuel.
The system set up on the basis of this Decision shall be optional for taxable persons.
Decision 86/356/EEC is repealed on 30 April 2007. The United Kingdom shall inform the Commission of the national provisions referred to in Article 1 as soon as they have been adopted.
This Decision is addressed to the United Kingdom of Great Britain and Northern Ireland.
Source: EUR-Lex (Publications Office of the EU), © European Union, reuse permitted under Commission Decision 2011/833/EU.